Stryker commits to $30M R&D expansion in Ireland
Stryker ($SYK) is committing $30 million to boosting its R&D operation in Ireland, even as the company has pursued major job slashing there and throughout its global operations.
Silicon Republic reports that the company is pouring the money into its facility in County Cork with a focus on developing next-generation surgical devices. The operation won't be on its own; it will concoct new products in conjunction with the company's Kalamazoo, MI, headquarters and other Stryker businesses.
While the investment is a solid one, the job growth Stryker generates by the effort pales compared to the overall job cuts it is pursuing. The company will create 20 new jobs as part of the R&D expansion. But in 2011, the company eliminated 142 positions at the same facility and moved those slots to China and Malaysia. And in response to the hated 2.3% medical device industry tax slated to begin on Jan. 1, Stryker is pursuing a massive amount of restructuring. The company announced a year ago plans to eliminate 1,050 jobs, about 5% of its 21,000-employee workforce. Reorganization is also part of the deal, with a focus on reducing pretax operating costs by more than $100 million.
For the Ireland R&D investment, the idea is to develop surgical tools for a number of medical procedures that would, in part, reduce the time for surgeries, boost accuracy and make the operating room more efficient, according to the story.
- read the story
Special Report: The 10 Largest Medical Device Layoffs of 2012